Governance

DAO-Style Community Governance

The Arbitrix Protocol implements a decentralized autonomous organization (DAO) governance model that empowers ARB token holders to participate in protocol decision-making. This community-driven approach ensures decentralized control while maintaining technical rigor for arbitrage operations.

ARB Token Governance

The ARB token serves as the governance token with the following utilities:

• Voting Power: 1 ARB = 1 vote (no quadratic weighting)

• Proposal Creation: Minimum 100,000 ARB stake required

• Delegation: Token holders can delegate voting power to representatives

• Staking Rewards: Additional ARB emissions for active participants

Proposal System

Creation:

• Minimum ARB stake (100,000 ARB)

• Proposal template selection

• IPFS storage for detailed documentation

• Initial validation checks

Discussion:

• 3-day discussion period on forum/Discord

• Community feedback collection

• Proposal refinement opportunities

• Technical review by working groups

Voting:

• 7-day voting period

• Quorum requirement: 10% of circulating ARB

• Approval threshold: 51% of votes cast

• Quadratic voting for high-impact proposals

Execution:

• Timelock delays based on proposal risk level

• Automated execution via smart contracts

• Result broadcasting to all participants

Technical Implementation

Smart Contract Architecture

Governor Contract:

contract ArbitrixGovernor {
    struct Proposal {
        uint256 id;
        address proposer;
        string description;
        bytes[] calldatas;
        uint256 startBlock;
        uint256 endBlock;
        uint256 forVotes;
        uint256 againstVotes;
        bool executed;
    }

    function propose(
        address[] memory targets,
        uint256[] memory values,
        bytes[] memory calldatas,
        string memory description
    ) public returns (uint256)

Delegation Contract:

contract ARBDelegation {
    mapping(address => address) public delegates;
    mapping(address => uint256) public delegatedPower;

    function delegate(address delegatee) external {
        // Implementation for voting power delegation
    }
}

Incentive Programs

Rewards for active governance participation:

Proposal Rewards:

• Successful proposal implementation: 50,000 ARB

• Quality discussion contributions: 5,000 ARB

• Technical review assistance: 10,000 ARB

Voting Incentives:

• Consistent voting participation: Monthly ARB rewards

• Delegate performance bonuses: Quarterly distributions

• Working group stipends: Monthly compensation

Educational Programs:

• Governance academy completion: 200,000 ARB

• Ambassador program rewards: Performance-based

• Bug bounty program: Security contribution rewards

This DAO-style governance system ensures that the Arbitrix Protocol remains community-owned and operated while maintaining the technical sophistication required for automated arbitrage operations across multiple cryptocurrency exchanges.